IDEAS home Printed from https://ideas.repec.org/a/eee/jotrge/v24y2012icp512-521.html
   My bibliography  Save this article

On the use and potential of behavioural economics from the perspective of transport and climate change

Author

Listed:
  • Avineri, Erel

Abstract

It can be argued that the main thinking in transport planning and policy making stem from neoclassical economics in which individuals are largely assumed to make rational, consistent, and efficient choices, and apply cognitive processes of decision making that maximise their economic utility. Research in behavioural sciences indicates that individuals’ choices in a wide range of contexts deviate from the predictions of the rational man paradigm inspired the research agenda in the field of travel behaviour. New concepts and practices of government aim to apply some behavioural economics insights in the design of behavioural change initiatives and measures, an approach recently advocated in the US and the UK. This paper provides a brief review on the use and potential of behavioural economics from the perspective of transport and climate change, in two main contexts: travel demand modelling and design of behaviour change measures. The discussion of limitations and knowledge gaps associated with the implementation of behavioural economics to a travel behaviour context might contribute to the debate and help in defining research agenda in this area.

Suggested Citation

  • Avineri, Erel, 2012. "On the use and potential of behavioural economics from the perspective of transport and climate change," Journal of Transport Geography, Elsevier, vol. 24(C), pages 512-521.
  • Handle: RePEc:eee:jotrge:v:24:y:2012:i:c:p:512-521
    DOI: 10.1016/j.jtrangeo.2012.03.003
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0966692312000646
    Download Restriction: no

    File URL: https://libkey.io/10.1016/j.jtrangeo.2012.03.003?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Erel Avineri, 2006. "The Effect of Reference Point on Stochastic Network Equilibrium," Transportation Science, INFORMS, vol. 40(4), pages 409-420, November.
    2. Gneezy, Uri & Rustichini, Aldo, 2000. "A Fine is a Price," The Journal of Legal Studies, University of Chicago Press, vol. 29(1), pages 1-17, January.
    3. Laibson, David & Zeckhauser, Richard, 1998. "Amos Tversky and the Ascent of Behavioral Economics," Journal of Risk and Uncertainty, Springer, vol. 16(1), pages 7-47, April.
    4. Dan Ariely & Anat Bracha & Stephan Meier, 2009. "Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially," American Economic Review, American Economic Association, vol. 99(1), pages 544-555, March.
    5. Richard H. Thaler & Amos Tversky & Daniel Kahneman & Alan Schwartz, 1997. "The Effect of Myopia and Loss Aversion on Risk Taking: An Experimental Test," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(2), pages 647-661.
    6. Schwanen, Tim & Ettema, Dick, 2009. "Coping with unreliable transportation when collecting children: Examining parents' behavior with cumulative prospect theory," Transportation Research Part A: Policy and Practice, Elsevier, vol. 43(5), pages 511-525, June.
    7. Kitamura, R. & Nakayama, S. & Yamamoto, T., 1999. "Self-reinforcing motorization: can travel demand management take us out of the social trap?," Transport Policy, Elsevier, vol. 6(3), pages 135-145, July.
    8. Tversky, Amos & Kahneman, Daniel, 1992. "Advances in Prospect Theory: Cumulative Representation of Uncertainty," Journal of Risk and Uncertainty, Springer, vol. 5(4), pages 297-323, October.
    9. Goulias, Konstadinos G. & Henson, Kriste M., 2006. "On Altruists and Egoists in Activity Participation and Travel: Who are they and do they live together?," University of California Transportation Center, Working Papers qt0p36z3r0, University of California Transportation Center.
    10. George A. Akerlof, 2009. "How Human Psychology Drives the Economy and Why It Matters," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(5), pages 1175-1175.
    11. Richard H. Thaler & Cass R. Sunstein, 2023. "Libertarian paternalism," Chapters, in: Cass R. Sunstein & Lucia A. Reisch (ed.), Research Handbook on Nudges and Society, chapter 1, pages 10-16, Edward Elgar Publishing.
    12. Theo Arentze & Harry Timmermans, 2008. "Social Networks, Social Interactions, and Activity-Travel Behavior: A Framework for Microsimulation," Environment and Planning B, , vol. 35(6), pages 1012-1027, December.
    13. Ajzen, Icek, 1991. "The theory of planned behavior," Organizational Behavior and Human Decision Processes, Elsevier, vol. 50(2), pages 179-211, December.
    14. Ayako Taniguchi & Satoshi Fujii, 2007. "Promoting Public Transport Using Marketing Techniques in Mobility Management and Verifying their Quantitative Effects," Transportation, Springer, vol. 34(1), pages 37-49, January.
    15. Ostrom, Elinor & Walker, James & Gardner, Roy, 1992. "Covenants with and without a Sword: Self-Governance Is Possible," American Political Science Review, Cambridge University Press, vol. 86(2), pages 404-417, June.
    16. N/A, 2011. "Suicidal behaviour in adolescents," International Journal of Social Psychiatry, , vol. 57(1_suppl), pages 40-56, March.
    17. John M. Rose & Lorenzo Masiero, 2010. "A comparison of prospect theory in WTP and preference space," Quaderni della facoltà di Scienze economiche dell'Università di Lugano 1006, USI Università della Svizzera italiana.
    18. Metcalfe, Robert & Dolan, Paul, 2012. "Behavioural economics and its implications for transport," Journal of Transport Geography, Elsevier, vol. 24(C), pages 503-511.
    19. Kovalchuk T. V., 2011. "Health as the basis of reproductive behavior," Вестник Саратовского государственного социально-экономического университета, CyberLeninka;Государственное образовательное учреждение высшего профессионального образования "Саратовский государственный социально-экономического университет", issue 3, pages 158-160.
    20. Daniel Kahneman & Amos Tversky, 2013. "Prospect Theory: An Analysis of Decision Under Risk," World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127, World Scientific Publishing Co. Pte. Ltd..
    21. Evert Jan van de Kaa, 2010. "Applicability of an Extended Prospect Theory to Travel Behaviour Research: A Meta‐Analysis," Transport Reviews, Taylor & Francis Journals, vol. 30(6), pages 771-804, April.
    22. Wang, X. T., 1996. "Framing Effects: Dynamics and Task Domains," Organizational Behavior and Human Decision Processes, Elsevier, vol. 68(2), pages 145-157, November.
    23. Thomas J. Brennan & Andrew W. Lo, 2011. "The Origin of Behavior," Quarterly Journal of Finance (QJF), World Scientific Publishing Co. Pte. Ltd., vol. 1(01), pages 55-108.
    24. Cass R. Sunstein & Richard H. Thaler, 2003. "Libertarian paternalism is not an oxymoron," Conference Series ; [Proceedings], Federal Reserve Bank of Boston, vol. 48(Jun).
    25. Ert, Eyal & Erev, Ido, 2008. "The rejection of attractive gambles, loss aversion, and the lemon avoidance heuristic," Journal of Economic Psychology, Elsevier, vol. 29(5), pages 715-723, November.
    26. Eran Ben-Elia & Ido Erev & Yoram Shiftan, 2008. "The combined effect of information and experience on drivers’ route-choice behavior," Transportation, Springer, vol. 35(2), pages 165-177, March.
    27. Sunitiyoso, Yos & Avineri, Erel & Chatterjee, Kiron, 2011. "The effect of social interactions on travel behaviour: An exploratory study using a laboratory experiment," Transportation Research Part A: Policy and Practice, Elsevier, vol. 45(4), pages 332-344, May.
    28. McFadden, Daniel, 1999. "Rationality for Economists?," Journal of Risk and Uncertainty, Springer, vol. 19(1-3), pages 73-105, December.
    29. Ben-Akiva, Moshe & McFadden, Daniel & Train, Kenneth & Börsch-Supan, Axel, 2002. "Hybrid Choice Models: Progress and Challenges," Sonderforschungsbereich 504 Publications 02-29, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
    30. Paul Timms, 2008. "Transport models, philosophy and language," Transportation, Springer, vol. 35(3), pages 395-410, May.
    31. Dan Ariely & Uri Gneezy & George Loewenstein & Nina Mazar, 2009. "Large Stakes and Big Mistakes," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 76(2), pages 451-469.
    32. Nava Ashraf & Colin F. Camerer & George Loewenstein, 2005. "Adam Smith, Behavioral Economist," Journal of Economic Perspectives, American Economic Association, vol. 19(3), pages 131-145, Summer.
    33. Connors, Richard D. & Sumalee, Agachai, 2009. "A network equilibrium model with travellers' perception of stochastic travel times," Transportation Research Part B: Methodological, Elsevier, vol. 43(6), pages 614-624, July.
    34. Matthew Bennett & Unknown & Amelia Fletcher & Liz Hurley & David Ruck, 2010. "What Does Behavioral Economics Mean for Competition Policy?," CPI Journal, Competition Policy International, vol. 6.
    35. Widayat & Wahjoedi & M. Syafi?ie Idrus, 2011. "Modelling the behaviour of household’s investment," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 3(2), pages 165-177, April.
    36. Frey, Bruno S, 1997. "A Constitution for Knaves Crowds Out Civic Virtues," Economic Journal, Royal Economic Society, vol. 107(443), pages 1043-1053, July.
    37. Fusun F. Gonul & Peter T.L. Popkowski Leszczyc, 2011. "Snipe bidding behaviour in eBay auctions," International Journal of Electronic Marketing and Retailing, Inderscience Enterprises Ltd, vol. 4(1), pages 16-29.
    38. Kamen Kamenov, 2011. "Some Aspects of the Behaviour of Informal Economy," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 7, pages 77-94.
    39. Jou, Rong-Chang & Kitamura, Ryuichi & Weng, Mei-Chuan & Chen, Chih-Cheng, 2008. "Dynamic commuter departure time choice under uncertainty," Transportation Research Part A: Policy and Practice, Elsevier, vol. 42(5), pages 774-783, June.
    40. Konstadinos Goulias & Kriste Henson, 2006. "On altruists and egoists in activity participation and travel: who are they and do they live together?," Transportation, Springer, vol. 33(5), pages 447-462, September.
    41. S. Cairns & L. Sloman & C. Newson & J. Anable & A. Kirkbride & P. Goodwin, 2008. "Smarter Choices: Assessing the Potential to Achieve Traffic Reduction Using ‘Soft Measures’," Transport Reviews, Taylor & Francis Journals, vol. 28(5), pages 593-618, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Francesca Cellina & Dominik Bucher & José Veiga Simão & Roman Rudel & Martin Raubal, 2019. "Beyond Limitations of Current Behaviour Change Apps for Sustainable Mobility: Insights from a User-Centered Design and Evaluation Process," Sustainability, MDPI, vol. 11(8), pages 1-26, April.
    2. Pleshcheva, Vlada, 2019. "Metric and Scale Effects in Consumer Preferences for Environmental Benefits," Rationality and Competition Discussion Paper Series 147, CRC TRR 190 Rationality and Competition.
    3. Rey, David & Dixit, Vinayak V. & Ygnace, Jean-Luc & Waller, S. Travis, 2016. "An endogenous lottery-based incentive mechanism to promote off-peak usage in congested transit systems," Transport Policy, Elsevier, vol. 46(C), pages 46-55.
    4. Schwanen, Tim, 2020. "Towards decolonial human subjects in research on transport," Journal of Transport Geography, Elsevier, vol. 88(C).
    5. S. Scrieciu & Zaid Chalabi, 2014. "Climate policy planning and development impact assessment," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 19(3), pages 255-260, March.
    6. Quaglione, Davide & Cassetta, Ernesto & Crociata, Alessandro & Marra, Alessandro & Sarra, Alessandro, 2019. "An assessment of the role of cultural capital on sustainable mobility behaviours: Conceptual framework and empirical evidence," Socio-Economic Planning Sciences, Elsevier, vol. 66(C), pages 24-34.
    7. Marsden, Greg & Mullen, Caroline & Bache, Ian & Bartle, Ian & Flinders, Matt, 2014. "Carbon reduction and travel behaviour: Discourses, disputes and contradictions in governance," Transport Policy, Elsevier, vol. 35(C), pages 71-78.
    8. Ababio-Donkor, Augustus & Saleh, Wafaa & Fonzone, Achille, 2020. "The role of personal norms in the choice of mode for commuting," Research in Transportation Economics, Elsevier, vol. 83(C).
    9. Hoolohan, Claire & McLachlan, Carly, 2015. "Consumers and energy demand in food supply chains: Synthesising insights from the social sciences," 143rd Joint EAAE/AAEA Seminar, March 25-27, 2015, Naples, Italy 202743, European Association of Agricultural Economists.
    10. Charles Collet & Pascal Gastineau & Benoit Chèze & Pierre-Alexandre Mahieu & Frederic Martinez, 2022. "Combining economics and psychology: Does CO2 framing strengthen pro-environmental behaviors?," Working Papers hal-03321706, HAL.
    11. Galarraga, Ibon & Kallbekken, Steffen & Silvestri, Alessandro, 2020. "Consumer purchases of energy-efficient cars: How different labelling schemes could affect consumer response to price changes," Energy Policy, Elsevier, vol. 137(C).
    12. Pot, Felix Johan & van Wee, Bert & Tillema, Taede, 2021. "Perceived accessibility: What it is and why it differs from calculated accessibility measures based on spatial data," Journal of Transport Geography, Elsevier, vol. 94(C).
    13. Mundaca, Luis & Román-Collado, Rocío & Cansino, José M., 2022. "Assessing the impacts of social norms on low-carbon mobility options," Energy Policy, Elsevier, vol. 162(C).
    14. Fernando Dias Simões, 2016. "Consumer Behavior and Sustainable Development in China: The Role of Behavioral Sciences in Environmental Policymaking," Sustainability, MDPI, vol. 8(9), pages 1-18, September.
    15. Gessner, Johannes & Habla, Wolfgang & Wagner, Ulrich J., 2023. "Can social comparisons and moral appeals increase public transport ridership and decrease car use?," ZEW Discussion Papers 23-003, ZEW - Leibniz Centre for European Economic Research.
    16. Jessica Berg & Malin Henriksson & Jonas Ihlström, 2019. "Comfort First! Vehicle-Sharing Systems in Urban Residential Areas: The Importance for Everyday Mobility and Reduction of Car Use among Pilot Users," Sustainability, MDPI, vol. 11(9), pages 1-16, April.
    17. Avineri, Erel & Owen D. Waygood, E., 2013. "Applying valence framing to enhance the effect of information on transport-related carbon dioxide emissions," Transportation Research Part A: Policy and Practice, Elsevier, vol. 48(C), pages 31-38.
    18. Caspar G. Chorus, 2014. "Acquisition of Ex-Post Travel Information: A Matter of Balancing Regrets," Transportation Science, INFORMS, vol. 48(2), pages 243-255, May.
    19. Lu, Qing-Chang & Zhang, Junyi & Peng, Zhong-Ren & Rahman, ABM Sertajur, 2014. "Inter-city travel behaviour adaptation to extreme weather events," Journal of Transport Geography, Elsevier, vol. 41(C), pages 148-153.
    20. Blanco, Herib & Gómez Vilchez, Jonatan J. & Nijs, Wouter & Thiel, Christian & Faaij, André, 2019. "Soft-linking of a behavioral model for transport with energy system cost optimization applied to hydrogen in EU," Renewable and Sustainable Energy Reviews, Elsevier, vol. 115(C).
    21. Catherine Sundling, 2015. "Travel Behavior Change in Older Travelers: Understanding Critical Reactions to Incidents Encountered in Public Transport," IJERPH, MDPI, vol. 12(11), pages 1-23, November.
    22. Italo Meloni & Benedetta Sanjust di Teulada & Erika Spissu, 2017. "Lessons learned from a personalized travel planning (PTP) research program to reduce car dependence," Transportation, Springer, vol. 44(4), pages 853-870, July.
    23. Narayanan, Santhanakrishnan & Antoniou, Constantinos, 2023. "Shared mobility services towards Mobility as a Service (MaaS): What, who and when?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 168(C).
    24. Ehrgott, Matthias & Wang, Judith Y.T. & Watling, David P., 2015. "On multi-objective stochastic user equilibrium," Transportation Research Part B: Methodological, Elsevier, vol. 81(P3), pages 704-717.
    25. Caspar G. Chorus, 2014. "Capturing alternative decision rules in travel choice models: a critical discussion," Chapters, in: Stephane Hess & Andrew Daly (ed.), Handbook of Choice Modelling, chapter 13, pages 290-310, Edward Elgar Publishing.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Xu, Hongli & Lou, Yingyan & Yin, Yafeng & Zhou, Jing, 2011. "A prospect-based user equilibrium model with endogenous reference points and its application in congestion pricing," Transportation Research Part B: Methodological, Elsevier, vol. 45(2), pages 311-328, February.
    2. Eduard Marinov, 2017. "The 2017 Nobel Prize in Economics," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 117-159.
    3. Committee, Nobel Prize, 2017. "Richard H. Thaler: Integrating Economics with Psychology," Nobel Prize in Economics documents 2017-1, Nobel Prize Committee.
    4. Schnellenbach, Jan & Schubert, Christian, 2015. "Behavioral political economy: A survey," European Journal of Political Economy, Elsevier, vol. 40(PB), pages 395-417.
    5. Jou, Rong-Chang & Chen, Ke-Hong, 2013. "An application of cumulative prospect theory to freeway drivers’ route choice behaviours," Transportation Research Part A: Policy and Practice, Elsevier, vol. 49(C), pages 123-131.
    6. Santos, Georgina & Behrendt, Hannah & Teytelboym, Alexander, 2010. "Part II: Policy instruments for sustainable road transport," Research in Transportation Economics, Elsevier, vol. 28(1), pages 46-91.
    7. Rachel Croson & Nicolas Treich, 2014. "Behavioral Environmental Economics: Promises and Challenges," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(3), pages 335-351, July.
    8. Gao, Kun & Sun, Lijun & Yang, Ying & Meng, Fanyu & Qu, Xiaobo, 2021. "Cumulative prospect theory coupled with multi-attribute decision making for modeling travel behavior," Transportation Research Part A: Policy and Practice, Elsevier, vol. 148(C), pages 1-21.
    9. Dolan, Paul & Galizzi, Matteo M., 2015. "Like ripples on a pond: Behavioral spillovers and their implications for research and policy," Journal of Economic Psychology, Elsevier, vol. 47(C), pages 1-16.
    10. Geng, Kexin & Wang, Yacan & Cherchi, Elisabetta & Guarda, Pablo, 2023. "Commuter departure time choice behavior under congestion charge: Analysis based on cumulative prospect theory," Transportation Research Part A: Policy and Practice, Elsevier, vol. 168(C).
    11. Chatterjee, Kiron & Sherwin, Henrietta & Jain, Juliet, 2013. "Triggers for changes in cycling: the role of life events and modifications to the external environment," Journal of Transport Geography, Elsevier, vol. 30(C), pages 183-193.
    12. Ben-Elia, Eran & Shiftan, Yoram, 2010. "Which road do I take? A learning-based model of route-choice behavior with real-time information," Transportation Research Part A: Policy and Practice, Elsevier, vol. 44(4), pages 249-264, May.
    13. Giselle Moraes Ramos & Winnie Daamen & Serge Hoogendoorn, 2014. "A State-of-the-Art Review: Developments in Utility Theory, Prospect Theory and Regret Theory to Investigate Travellers' Behaviour in Situations Involving Travel Time Uncertainty," Transport Reviews, Taylor & Francis Journals, vol. 34(1), pages 46-67, January.
    14. Häckel, Björn & Pfosser, Stefan & Tränkler, Timm, 2017. "Explaining the energy efficiency gap - Expected Utility Theory versus Cumulative Prospect Theory," Energy Policy, Elsevier, vol. 111(C), pages 414-426.
    15. Elbæk, Christian T. & Lystbæk, Martin Nørhede & Mitkidis, Panagiotis, 2022. "On the psychology of bonuses: The effects of loss aversion and Yerkes-Dodson law on performance in cognitively and mechanically demanding tasks," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 98(C).
    16. Miklós Antal & Ardjan Gazheli & Jeroen C.J.M. van den Bergh, 2012. "Behavioural Foundations of Sustainability Transitions. WWWforEurope Working Paper No. 3," WIFO Studies, WIFO, number 46424, April.
    17. Samuel Ferey & Yannick Gabuthy & Nicolas Jacquemet, 2013. "L'apport de l'économie expérimentale dans l'élaboration des politiques publiques," Revue française d'économie, Presses de Sciences-Po, vol. 0(2), pages 155-194.
    18. Zamri Ahmad & Haslindar Ibrahim & Jasman Tuyon, 2017. "Institutional investor behavioral biases: syntheses of theory and evidence," Management Research Review, Emerald Group Publishing Limited, vol. 40(5), pages 578-603, May.
    19. Guilhem Lecouteux & Léonard Moulin, 2013. "From welfare to preferences, do decision flaws matter? The case of tuition fees," Working Papers hal-00807687, HAL.
    20. Schwanen, Tim & Ettema, Dick, 2009. "Coping with unreliable transportation when collecting children: Examining parents' behavior with cumulative prospect theory," Transportation Research Part A: Policy and Practice, Elsevier, vol. 43(5), pages 511-525, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jotrge:v:24:y:2012:i:c:p:512-521. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-transport-geography .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.